Hyderabad's once-booming real estate market, which expanded rapidly over the past decade by tapping into the city’s outskirts and beyond, appears to be losing momentum.
The sector is grappling with declining sales, dwindling inquiries, rising unsold inventory, and a noticeable slowdown in new project launches.
According to a study released by Anarock on Thursday, Hyderabad recorded a 5% drop in residential unit sales in 2024 compared to 2023, and a significant 24% decline in new project launches during the same period.
Last year, 61,715 housing units were sold in Hyderabad, but this year the figure dropped to 58,540 units. In contrast, cities like the Mumbai Metropolitan Region (MMR) and Bengaluru saw slight increases in housing sales.
The situation looks even grimmer in terms of new project launches.
Hyderabad saw only 58,335 new units launched in 2024, a sharp fall from the 76,345 units launched in 2023—a 24% decline.
Meanwhile, cities like the National Capital Region (NCR) and Bengaluru recorded substantial growth in new launches, with rises of 44% and 30%, respectively.
Anarock’s report attributes the slowdown to a combination of factors, including strong homebuyer demand driving up property prices, coupled with the impact of general and state elections in 2024.
The report also highlights a nationwide decline in residential sales, with India’s top seven cities witnessing a 4% drop in housing sales, from 4,76,530 units in 2023 to 4,59,650 units in 2024.
As Hyderabad’s real estate market faces these headwinds, the future trajectory of the city’s property sector remains uncertain.